Having just ONE late payment on your credit report can be devastating to you credit scores. Late payments can stay on your credit report for 7 years. However, contrary to popular belief, you do NOT have to wait up to 7 years before being able to get a mortgage, car loan or any other type of credit again.
What You Need to Know About Late Payments
Late payments appear on your credit report as either being 30, 60, 90, or 120-plus days late. Each of these degrees of delinquency affect your credit score differently. If you are currently 30 or 60 days late, your credit report will be affected the most. The more recent the late payment has been reported, the more it affects your credit.
Time Is NOT Your Friend
Once you are 90 days late or more, it affects your credit score even more. One of the main goals of creditors is to try to predict how likely you are to be 90 days late or more on your payments. Obviously, if you have been 90-plus days late on a payment recently, then your risk of doing so again is much higher – and your score reflects this accordingly. However, even if you are already 90-plus days late on a payment, it is still a good idea to pay to avoid additional harm in the form of a charge off, collection, or repossession.
The Effects are Clear
No matter how much you owe, late payments will affect your credit the same. To credit reporting agencies, a late payment of $50 is just as bad as a late payment of $5,000. Knowing this, if you have to make a choice between which bills you can pay, it may be wise to pay the less expensive bills first, then pay the more expensive ones as soon as you can.
Suggestions on How To Avoid Late Payments in the Future
The best way to improve your credit score is to pay bills on time. Set up automatic bill pay with your bank, or set your bills up for auto-withdrawal. Many times you can even choose the date you want to have the money taken out to pay your bills.
Read my story below (and check out the photos for proof) to see how you can remove late payments from your credit report.
Bad Credit? You’re Not Alone.
Several years ago, I went through some tough times financially. I became unemployed when my company went out of business. The bills kept piling up and I simply couldn’t make the payments. Things got out of hand, I became desperate and ended up filing for bankruptcy. The financial burden was lifted, but my credit suffered a massive blow.
I knew that bankruptcy would have an impact on my life, but I didn’t know it would be as big as it turned out to be. I couldn’t get a loan from anyone. I had trouble securing lines of credit and was denied on home and auto loans.
Getting My Credit Back On Track
After I told a friend of mine about my issues, he suggested I check out Lexington Law. He said if anyone could help me out it would be them. I didn’t believe him at first, but I was willing to do anything to improve my credit, so I gave them a shot.
I researched them online, then gave them a call at (800) 220-0084. I spoke to a credit expert who gave me a free consultation. It was nice to talk to someone who actually cared and wanted to help. I decided to sign up and am still grateful for making that decision. After only a few weeks, I was getting letters from credit reporting agencies saying negative items were being removed from my credit report. Since then, my credit scores have been improving steadily. Finally, I can get financing on the things I want to buy. Joining up with Lexington Law turned out to be a great decision for me (see below).
My credit scores have dramatically improved since there are no longer any negative accounts on my credit report. Here is a snap shot of my credit scores since I signed up with Lexington Law:
“I just wanted to thank you and tell you that your system is going to be able to put me in a home almost two years earlier than I originally expected to. My credit score has jumped over 60 points in the last 6 months to a very respectable level and now when I apply for a mortgage. I will be able to name my price. So file this e-mail in the happy customer section and I will refer anyone with less than perfect credit to your services it has made a world of difference for me! Thanks again!”
“I can see that your method really works. I appreciate all that you have done for me so far. Already, I was able to walk into a car dealership, get an approval in a matter of minutes, and qualify for a tier 1 rating (and you’re not even done yet). I haven’t been tier 1 in years! I also want you to know that I have recommended your services to many of my friends, family, acquaintances and business associates. No matter how careful or diligent you are, you can still end up with blemishes on your credit report. I’m glad that you guys are out there to help remove them.”
You can read hundreds of client testimonials and even watch some very inspirational client video testimonials here:
Discount for Family Members, Couples, and Active Military!
Lexington Law is now offering $50 off the initial set-up fee when you and your spouse or family members sign up together. The one-time $50.00 discount will be automatically applied to both you and your spouse’s first payment.
Active military members also qualify for a one-time $50 discount off the initial fee.
Ready to Get Started?
Call (800) 220-0084 for a free consultation and a complimentary credit score. You’ll be glad you did!